20 JULY 2026
We’ve released our Quarterly Report for June 2026, delivering strong operating results, exceeding FY26 Group production guidance and accelerating our portfolio transition to base metals.
Quarterly sales volumes increased by 15%, capturing the benefit of strong market conditions across many of our commodities, and releasing working capital which added to the Group's cash generation.
Aluminium production exceeded FY26 guidance by 1%, while alumina production was in line with guidance.
Cannington had a strong finish to the year, delivering a 29% increase in quarterly production and exceeding FY26 guidance by 2%.
Manganese production exceeded FY26 guidance by 2%, with South Africa Manganese increasing quarterly production by 6%.
Sierra Gorda exceeded FY26 production guidance by 2% and delivered record annual distributions of US$401M (South32 share).
On 1 July, we announced the sale of our aluminium value chain assets (excluding Mozal Aluminium) to Alcoa Corporation for an implied enterprise value of up to US$5.6B plus ~US$1.2B of related rehabilitation provisions.
“Once complete, this sale will unlock significant value for shareholders and reposition South32 as a leading upstream base metals focused company,” said Matt Daley, South32 Chief Executive Officer.
“Our portfolio will be built around high-margin, long-life assets in favourable jurisdictions, with approximately 85% of pro-forma earnings from base and precious metals and approximately 55% production growth from approved projects.”
We achieved significant milestones for our copper and zinc development projects during the period.
At Sierra Gorda, the fourth grinding line project was approved for execution, which is expected to increase our share of copper equivalent production by approximately 30%.
At Hermosa, we continued construction of the Taylor zinc-lead-silver project in line with our recent project update, and a Final Record of Decision was received on 7 July, completing the federal permitting process under the National Environmental Policy Act.
“Looking ahead, our focus on operational excellence, a strong balance sheet and transformational growth in base metals leaves us well positioned to deliver value for shareholders,” said Matt.